Debate around State House bill took steps to make school finances more transparent

A bill that sailed through the state House of Representatives this week shows lawmakers are looking for new ways to make school district business more transparent -- even if those portions of the bill were removed before it was approved.

But state Rep. Mark Meadows, D-East Lansing, said the measures might return in another bill, expanded to include other governmental units.

House Bill 4313 allows school districts to expand what they can do with money from sinking funds, which are tax levies that allow schools to create an account that can be used buy property and repair buildings.

There are limits in place already, with a 5-mill maximum levy, a 20-year maximum length and Treasury Department audits.

The new bill allows districts to used the accounts to buy and maintain buses and technology.

But what caught my eye was a section saying a district could only take the money if it posts its spending information electronically on a Web site at least quarterly and holds its sinking fund millage election in either August or November.

That was a pretty big string attached there.

Other than the intermediate school districts, area schools have been reluctant to put that kind of information online, saying it would be too time-consuming, and such information is available through the Freedom of Information Act if someone really wanted it -- and was willing to wait three weeks to get it.

And school districts have long grumbled about attempts to tell them when they can hold elections.

State Rep. Thomas Pearce, R-Rockford, sits on the Education Committee, and when he hold me those provisions were removed from the bill I assumed the school district lobbyists had applied pressure.

But Meadows told me that wasn't entirely the case.

He strongly supports putting financial information online and said the consensus among lawmakers was that all government should be asked to do this, not just schools.

"Why not do it for everybody?" he asked.

Meadows said he would like to make everything currently available through the Freedom of Information Act available through computers.

He said governmental units might complain about the time and expense to post and update the information, but noted that each already has a staff member who is responsible for handling such requests and considerable expenses in replying to the demands.

As for the election dates, Meadows said he realized August and November might be too limiting considering schools already are conducting elections in May for their board races, and tax increases questions could be added to those ballots.

Meadows said he is unsure about the bill's chances in the state Senate. The powerful state Chamber of Commerce is in opposition, and Senate Republicans might keep the bill from getting to the governor's desk.